CHICAGO -- Internet grocer Peapod here, a subsidiary of Ahold, Zaandam, Netherlands, announced last week that it will discontinue free grocery delivery in Boston and the Chicagoland markets.
uted a $4.95 minimum delivery fee for all orders in the Boston area made on or after Aug. 31. Orders under $75 will contain a $9.95 fee.
In Chicago, its most profitable market, the Internet grocer is capping all orders with a $2.95 fee.
The company has already started charging for all deliveries in Washington D.C., Connecticut and Long Island, N.Y., in efforts to boost profitability.
The company also settled a lawsuit filed by a shareholder claiming that parent company Ahold's buyout price of $2.15 for the 42% stake in the company that it does not own was unfair.